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Step 1
Preheat the oven to 400 degrees F (200 degrees C). Line a baking sheet with parchment paper. Whisk egg and water together for egg wash.
Step 2
Combine flour, baking powder, sugar, salt, and pepper in a large bowl. Cut in butter with a pastry blender or fork until pea-sized lumps remain. Add Cheddar cheese and jalapeno peppers; toss in the flour mixture to prevent the cheese from clumping. Add 1 cup buttermilk and mix until a sticky dough forms. Only add additional buttermilk if absolutely necessary.
Step 3
Form dough into a ball and turn out onto a lightly floured surface. Divide in half and form each piece into a 3/4-inch thick circle. The circles should measure about 8 inches in diameter, but the thickness is more important that the diameter. Cut each circle into 8 wedges. Transfer wedges to the prepared baking sheet, leaving at least 1/2 inch between each one. Paint the top of each wedge with egg wash.
Step 4
Bake in the preheated oven until golden brown, 22 to 23 minutes. Serve warm.